Govt. notifies e-invoicing for companies with Rs 500-crore turnover
The government has notified an e-invoicing system under the Goods and Services Tax regime which makes it compulsory for the large-scale businesses with a turnover of more than Rs 500 crore to submit the invoices on electronic mode only.
Impact
This notification is a relief for small businesses as the turnover threshold has been hiked from the earlier proposed Rs 100 crore and above for mandatory e-invoicing. It is expected to be operational from October 1 and with this, there is hardly a time of a couple of months for the businesses to modify the systems. There are about 7500 GST Identification numbers for businesses with a turnover of Rs 500 crores and above.
Highlights
The SEZ units have been exempted from complying with e-invoicing process and it will also help business and taxpayers by pre-populating the returns, resulting in reducing the reconciliation related issues. The government is planning to roll out this process in phases whereas it had earlier planned to make it mandatory from April 01 though that had to be shelved due to the COVID 19 Pandemic.
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Month: Current Affairs - August, 2020